Refer to the information provided in Figure 6.12 below to answer the question that follows. Figure 6.12
-Refer to Figure 6.12. If Arthur moves from indifference curve 1 to indifference curve 2, then Arthur's
A) marginal utility increases.
B) total utility increases.
C) total income decreases.
D) prices of the goods increase.

Question

Refer to the information provided in Figure 6.12 below to answer the question that follows.  Figure 6.12
-Refer to Figure 6.12. If Arthur moves from indifference curve 1 to indifference curve 2, then Arthur's
A) marginal utility increases. 
B) total utility increases. 
C) total income decreases. 
D) prices of the goods increase.

Quizplus · Accepted Answer

Moving from a lower to a higher indifference curve (from 1 to 2) indicates that Arthur is achieving a higher level of satisfaction or total utility, as each curve represents a level of utility that the consumer can achieve with different combinations of goods.

Refer to the Information Provided in Figure 6